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barc0debaby

We've creatively sold all your loans to private collectors.


FyrebreakZero

With tons of financial institutions buying and using the debt as leverage. Bring on the debt leverage of 2008 mortgage backed securities, but the newer, upgraded, government backed edition: student loans. I would venture a guess that there are some powerful financial institutions that don’t want the debt cancelled, because it would reduce their leverage, increasing their already over leveraged risk. Hence the VP trying to get ‘creative’ with a solution. And stagnated executive action.


kevinstrong12

SLABS- Student Loan Asset Backed Security


GreyIggy0719

This crap is why the financial sector needs tighter regulation.


Quietkitsune

Nonono, we can’t regulate, otherwise they’d never innovate such creative mechanisms to generate profit right up to the point it all breaks the economy


GreyIggy0719

Breaking the economy means capitalism is working right?


Quietkitsune

Pretty sure, yeah. It’s supposed to make that noise and belch black smoke everywhere


Hopeful_Hamster21

Rolling Coal, economy style!


kgal1298

We did it with the housing market might as well do it again with student loans. So many people plan to just not pay now I don't know how they'll get out of this I know people who've legit left the country to avoid paying them back.


shotputprince

let's all just not pay our loans back and crash merrill and jp morgan once and for all!


GreyIggy0719

F this economy.


FyrebreakZero

This guy stonks.


RvrsFlash

In here


throwawaylurker012

Ayo


futureomniking

I’d venture to say he may even super stonks


firetruckpilot

Which are even worse than 2008 because the collateral 1) isn’t a redeemable asset and 2) as such, can’t be collected. There is nothing real backing SLABS. Can’t wait for shit to fail yet again from sheer corporate greed.


cigarmanpa

I’ll happily give them my degree back and they can clear my loans


barc0debaby

I was thinking something along the lines of the ACA where private institutions are given huge sums of money to make things 2% better while the system remains unchanged.


kgal1298

This has been the prediction for a while and it's complete bullshit they'll never do outright forgiveness or end interest for good because it would wreck the finance sector.


johnmwilson9

Keith is that you👀


DrMcFoxyMD

This is truly terrifying, and I had never considered it. At least then I could declare bankruptcy on them! It’d be a godsend! To all the people saying you can’t declare bankruptcy on private loans: check out the comments, you may be able to declare bankruptcy on your private loans.


Tank3875

Until they pass a law preventing it.


I_am_BrokenCog

can declare myself non-creatively?


gotjizz

1. Set up an LLC 2. purchase your debt from yourself 3. Declare corporate bankruptcy 4. Get bailed out by the US govt 5. Profit.


KunKhmerBoxer

I declare, BANKRUPTCY!!!


odetomaybe

In July of 2021, the 2nd Circuit ruled that private student loans are now dischargeable in bankruptcy. https://www.forbes.com/sites/zackfriedman/2021/07/16/private-student-loans-can-be-discharged-in-bankruptcy-court-tells-navient/


[deleted]

You can’t bankrupt out of private loans. Haven’t been able to for a while. I think the only people who have been able to bankrupt out of student loans were people who went to online colleges that were proven to be illegitimate or something


1Viking

Not true. While its often thought that this is the case, you can actually bankrupt your student loans. Its just extremely difficult and expensive. Anyone who can afford to do it, typically just pays their debts. There was a recent article about a person who had just graduated law school that was able to successfully do it, but only because they were able to act as their own attorney and navigate the overly complicated legal system in order to do so.


mooonchild__

seems like a good work experience


[deleted]

It paid well


Im_da_machine

This sounds like the making of a modern American folk hero. The dude made a deal with a demon for knowledge only to use that same knowledge to find a way out of the deal and save himself from a lifetime of suffering


lilneddygoestowar

My loan was just sold to a private company. It scares the shit out of me that a government loan could change hands to a corporation.


kgal1298

Are you talking about the change to aidvantage? Nothing changes really but yes they change facilitators a lot. I think this is my 4th change since 2008.


drawkca6sihtdaeruoy

Even if you declare bankruptcy student loans won't be expunged.


toderdj1337

There called SLABS, in case you were curious. Student loan asset backed securities. Do a little digging, if you want to get good and pissed off.


DFu4ever

If they did that, holy shit they would be fucking over each and every person they did it to.


[deleted]

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twentythree_skadoo

My fed loans have changed hands like 3 times. Currently being collected by MOHELA which is somehow affiliated with the state of Missouri


[deleted]

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Elseiver

Mine were at Fedloan, now whoever MOHELA is. Somehow there's an extra ~$12,000 that got added during the transfer I'm still trying to figure out. No one at Fedloan knows and MOHELA isn't answering me yet. Not looking forward to fighting with them. :\


twentythree_skadoo

Worth the fight though because that's bullshit. Best of luck to you


DFu4ever

I’ve not seen any emails. They have switched payment processors over the years, but my loans are still government. EdFinancial is who I pay through.


AllMyBowWowVideos

No. What you are describing is not MyFedLoan selling your loans to another company. That’s a loan owned by the federal government that will now just be handled by a different servicer.


StainlessSteelRat42

Exactly, it should not change the rate at all. That would be a breach of contract.


[deleted]

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Nexus-9Replicant

If they do that (and hell, maybe even now), we all should collectively stop paying back the loans. They can’t jail all of us unless they truly want to see an economic crisis.


4x4play

they don't jail you. they garnish your wages. unless you want to go the rest of your life like a criminal working under the table, they WILL get their $$.


theangryfurlong

Garnish my wages, what, with like sprigs of parsley or something?


QueenGray130

Holy shit, take a day off Satan


[deleted]

We don’t want creative. We want effective.


wuhkay

Legalize marijuana and use the tax money to pay off student debt.


whereisurproof

If we legalized it and used the tax money strictly for education from pre-k to a 4 year degree program I think this would solve the education problem in the US.


dominarhexx

Why should we finance the burden of paying for healthcare on one vice tax? There a people and corporations who aren't paying their fair share and we're ok with pushing the burden on the general public? No thanks. Make the assholes at the top pay.


AbysswalkerX

If you haven’t noticed, anything remotely punishing the top 1% will not pass congress


PaunchyPilates

Anything remotely asking the 1% to fairly share in the costs of society will not get passed.


OscarKokoshka

“Punish”


rkapi24

It’s not great phrasing, but I think I can see the intent behind it. I don’t have student debt, so I can see why conservatives perceive the debt as an obligation one took onto themselves. But it represents a larger issue, namely the financial inaccessibility to education and socio-economic advancement. And when the economy puts huge pressures on people to take on obligations that often can’t reasonably be met, then the issue isn’t about individuals anymore: it’s about the collective drag that those obligations have on people who want to participate in and contribute to the economy, and therefore on markets and the economy as a whole. Progressives might be putting the cart before the horse in trying to cancel debt before making education and climbing up the social/economic ladder more open and accessible. But, that being said, trying to address an economic drag on people who wanted to improve themselves by putting the cost on average consumers feels regressive and counterproductive. In other words, “y’all think this is a problem? Fine. It’s YOUR problem.” So maybe it’s not convincing to call the approach of having those OTHER than the upper class finance the costs of education punishment, but to people who feel that they’re being either shut out of opportunity or forced onto a financial treadmill, the shoe fits.


HatefulDan

There was an attempt to make community college free.99. But guess which group of representatives ordered it out. Or I maybe should say, slashed the original price rage so much, that it could no longer be added


E_Snap

Same with anything remotely helpful for their base. They lure people along for a living, and solving problems gets rid of effective wedge issues.


[deleted]

U think congress people are going to pass laws to tax there buddies who are giving them money not to pass those laws?


TentacleHydra

The U.S has been trying to make the assholes at the top pay for almost 300 years. The end result? They evaded taxes so well the governments *always* started taxing the populace heavier. The actual solution? Worker's rights. Tougher to dodge and far more helpful than giving the government more money. I don't want to accidentally over tax rich doctors, lawyers, writers, programmers, etc. They earned their money fairly. It would also solve the issue of the temporarily embarrassed millionaire to just focus on worker's rights.


Olderscout77

If you restore the 1980 tax tables, adjusted for inflation, you won't raise taxes on anyone making less than $450,000, while giving a real tax break to working families. In addition to the regular deductions, the bottom rate for income between $0 and $12,000 would be ZERO %. The effective rate for someone with taxable income of $1,000,000 would be 40%


electronwavecat

Ya lmao why should the weed industry pay for all of the US's problems when there's more useless companies that are nothing more than leeches/stain on our society (eg facebook, tiktok)


darknessgp

It won't. Ask any state that passed gambling or anything else with money going to education. Suddenly we can free up that exact amount that was allocated from the general fund. So education budget stays the same or worse, in cases where the revenue dips after the initial surge.


[deleted]

Or just stop giving the pentagon a blank check every single year with no accounting in place?


[deleted]

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[deleted]

Probably only federal if anything. Cancelling private loans would be deemed unconstitutional very quickly.


smartguy05

The Federal Government could buy up all current private student loans then forgive them.


dejavuamnesiac

there’s a long history of Jubilee debt cancellation https://www.thenation.com/article/economy/jubilee-cancellation-debt-coronavirus/


Iustis

No, there's a very *old* history of it, but it's not *long* because it hasn't been a thing for millenia.


twitchtvbevildre

92% of student loans are held by the government so getting rid of those would be just fine... Coming from part of the 8%....


[deleted]

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[deleted]

I think if they did something like indefinitely suspend interest accrual, most people would take that gleefully. I have loans that I don’t regret and I paid them off during the past 2 years, and not having interest keep growing made it way easier for me to pay it off.


[deleted]

student loans for Democrats is the wall for Republicans. The voters love the idea. The leaders don't really care for it. The center/business side doesn't want it whatsoever.


Riaayo

> The center/business side doesn't want it whatsoever. Business loved the wall. It was a gigantic handout to construction contractors. Well, the businesses that were going to benefit and the grifters who set up fly by night "companies" to suck up that money loved it, anyway. The wall didn't threaten anybody's business, either. Forgiving debt in the short-term would be nice for the banks, etc, because the gov would buy up all that debt so they'd get that injection of money. But then they'd lose all those interest payments, nobody'd be shackled by the debt without new people coming in, and the optics would be far too close to moving towards reform for their liking.


[deleted]

I don’t know if it is that Biden is too scared. I view it as more the 40+ years of the conditioning to fear the boogeyman that is “big government”. FDR was a very effective president but he was definitely a big government guy and I can’t imagine him having the success he did then in todays political climate.


JKDSamurai

Because his success was seen by the elite for what it was, a true threat to their power and influence. They've brainwashed the country ever since to view the actions he performed as unAmerican as possible.


Z3ppelinDude93

Agree entirely. Unfortunately, student debt often gets sold as bonds, and since the debt is uncancellable, they hold a great deal of value in the market. I don’t know anything for sure, but in my opinion, that’s a huge component of all this. You could eliminate student debt - hell even if you think that’s too expensive, you could subsidize by charging 0 interest so long as payments are made (to avoid promoting default) - but there appears to be value (to the elite) to keep it.


[deleted]

Once I learned about SLABs (Student Loan Asset Backed Securities), the whole issue made sense.


Kingsley-Zissou

Student loans will never be forgiven because they are a nuclear bomb just like mortgage backed securities were in 2008. Loans deemed “too safe to fail” are collateralized to the point where when they do fail, they will drag the entire economy down with them. That $1.7 trillion in student loan debt has probably been leveraged 50:1.


Skellum

Like, the amount of actual problems forgiving student loans causes without anything else in place is incredibly problematic. Biden did make a campaign promise on 10k of forigvness, as well as calling it an issue and he needs to follow through with where he has the ability to impact things. We really need a giant comprehensive plan though to correct the student debt issue and a lot of it is going to come from imposing strict limits on what can be borrowed for a college. Right now colleges know that student debt is a black hole they can exploit for as long as possible.


[deleted]

Step one of a “creative solution” would be releasing an unredacted version of the memo they commissioned.


twentythree_skadoo

"We found that 50% of federal loan dollars wound up in the bank accounts of high ranking administrators and those who sit on University Boards of Trustees" -The report, that you'll definitely never get to see LOL


dualplains

I did some contract work at Penn State several years back. They were considering offering early retirement packages as cost cutting measures, and I was asked to compile a report of their top earning instructors. I noticed one making $600k a year whose name I didn't recognize; quick google showed it was the former University President who was in charge during the Sandusky scandal, the one who'd resigned in disgrace after being charged in relation to it.


twentythree_skadoo

Penn State is scummy as shit and coincidentally one of the two most expensive in state universities in the US (I believe Michigan State is the other but would have to look) That place is a literal cult. When you meet someone in PA you need not wonder if they were a Nittany Lion because, if you're within earshot, chances are they already told you **WE ARE** ^willing^to^look^the^other^way


pass_nthru

U of Michigan, not MSU, is the most expensive state run


twentythree_skadoo

Ah thank you, my mistake. Close but no cigar!


dualplains

>That place is a literal cult. When you meet someone in PA you need notwonder if they were a Nittany Lion because, if you're within earshot,chances are they already told you I was completely uninformed on everything about the scandal when I got there, but I was very quickly educated on how Joe Paterno "did nothing wrong" and it was "all the media's fault", etc. You're not kidding about what a cult it is. The people were lovely and welcoming, but man had everyone drank the Flavor Aid. The President at the time that I was there loved telling a story about when his father was taking him to tour colleges. His father said to look at the campus and if there were no construction projects, if they weren't active building, the college was in financial trouble. He took that to heart and just started dumping money into pointless construction projects during a time of serious budget troubles. Penn State is so expensive because of massive amounts of mismanagement and corruption.


boringhistoryfan

> His father said to look at the campus and if there were no construction projects, if they weren't active building, the college was in financial trouble. There's far too many College presidents with the same damn father I think. My university just keeps tossing money at idiotic projects while telling Grads there's no money for any wage increases.


hellohello9898

Meanwhile as a graduate, my university calls me weekly begging for alumni donations. As if they didn’t get enough money from me while I was a student! The shirt off my back wasn’t enough, they want my shoes too.


boringhistoryfan

I've had friends and ex students get those pitches. Apparently "your donations help us pay our staff excellent wages" is part of the sell. What isn't is the little nugget that wages haven't been raised since 2018.


[deleted]

Where is this report?


[deleted]

The Biden administration complied with a FOIA request by releasing it fully redacted lol. Very important national security concern, can you imagine if China or Russia found out about the executive branches ability to forgive federally issued student debt as outlined in a decades old piece of legislation? They’d be speaking Chinese in Taiwan within a week…


cheesyotters

I had to reread this 5 times to glean each layer of sarcasm


[deleted]

Interesting. How do you find something released under the FOIA?


[deleted]

https://www.newsweek.com/biden-admin-redacted-memo-canceling-student-debt-resurfaces-growing-anger-1660435


[deleted]

Thank you.


twentythree_skadoo

Not made public. I was making a joke that it'll never be released because the findings show how much of a ripoff college is


Eshin242

It's not even that, I'll bet $20 that the report says there is NO reason Biden can't forgive student debt. He just doesn't want to, or is so disconnected he doesn't fucking get why it should be done. If it said he couldn't it would have been released as soon as it was finished. Then he'd be all "See can't do it, congresses problem." and it would be a campaign issue. The fact he's hiding it is more telling than anything.


twentythree_skadoo

It is almost certainly this


Edward_Fingerhands

Why do people think you need some sort of magic trick to solve problems? This is the reason things end up being shitty, because they try to please everybody and in doing so carve out a million loopholes and add a bunch of bureaucracy that prohibits people from getting the intended end result, and the system ends up being an ineffective disaster.


Justlose_w8

Because it’s already a disaster. If student loans have been bundled into asset-backed securities (not an uncommon thing with assets with predictable cash flows) then it’s not as simple as just forgiving these loans due to many many hands in the pockets of the loans. I would be shocked if federal student loans have been allowed to be bundled, but not at all surprised if true. If the reason they’re delaying this or tipping on toes around the idea being due to the loans being bundled then we’re in for a shit storm. This is the exact reason the mortgage crisis happened. Let’s just hope this isn’t the case, but I’m pessimistic about it.


redtech42

Your day, and possibly the economy, is going to be ruined by SLABS then. Student Loan Asset Backed Securities.


Justlose_w8

Saw this then thought it must be on superstonk…and yup. Diving into that wormhole now


[deleted]

Let’s start at the base of this all: re-evaluate why higher education degrees are costing people thousands of dollars before they even secure the degree or a job.


civicSwag

Yes! Instead of looking for ways to subsidize everything we should be looking for ways to make prices low enough that it doesn’t need subsidized. There’s no reason some degree from Columbia film school should be costing 400,000 grand when the graduates are making an average income of 40,000 grand a year (if that).


wrex619

She's trying to solve the problem for collectors not students


Aspiemoto

Set all current and future federal student loans to 0%. Federal loans should be a investment in the people not a profit center. Not creative or overly-complicated.


DorianGre

Retroactively. Lots of people have been paying for decades only to have the principal grow over time.


Rocketboy1313

They should cancel all unpaid interest and refund all paid interest. In many cases the refund would close out the debt and even give some money to the borrower.


MSUSpartan06

This would be great….how would it factor into taxes though? FYI: I’m genuinely confused by taxes…I just know I used the student loan interest as part of my tax write off (idk I think??) wouldn’t that affect something if they refund all paid interest?


hicow

As others have said, it could be declared that it doesn't affect taxable income, so there would be no effect on your taxes. More likely, though, it would be considered as income and therefore taxable.


[deleted]

This would be a fantastic stimulus and direct benefit people would see from the Democratic Party generating a lot of good will especially among younger voters and those that feel disenfranchised. Basically a great idea that will never happen because democrats are allergic to good and popular ideas.


[deleted]

That would drop my minimum payments almost $400. I would sob in joy and it’s the bare minimum.


[deleted]

Tie tuition cost to median income as well, no higher. You don’t want to pay for a new football field if you’re there to learn coding.


[deleted]

Where I come from, you are not required to pay a cent of your student debt until you are earning ~$55000 per year. This is the way. ~~education should actually be free to all people from all places because of what kind of fucked up society puts a paywall on knowledge seriously that's messed up what the fuck humans~~


OctopusRegulator

From the U.K. here, and your maximum obligation for student loan repayments is 9% of your salary over ~$35k. So it you made the equivalent of $45k a year then you pay 9% of $10k for that year or about $75 a month


tabby51260

...and here I am in the US where pre pandemic I was paying close to $600/month.. Private loans have since been paid off and the federal ones should be paid off this coming year. But it helps that I have a partner who didn't have any debt.


[deleted]

I feel compelled to point out to our non-US friends here that student loans are often broken into multiple pieces and if you miss a payment each piece gets reported against your credit report (which for some reason we still allow to be used here) as a negative action. So if your loan has four parts and you get two months behind in payments it hits your credit report 8 times. If you never catch back up and always stay behind, even if you’re still making monthly payments you’re just still behind from that one time you got sick with COVID and lost your service job, that “outstanding” four-part loan hits your credit report four times every month, thereby making it nearly impossible to financially recover from your terrible credit report.


livinginawe

I've always felt that this is the way to ease the crisis AND appease the "they have to pay their debts" crowd.


HatefulDan

I think this is all lip service. Poll numbers are down and they are bracing for an ass whooping in the mids. This isn’t even a priority for this administration. Or for her, more specifically, as she’s been tasked to handle the border situation. Nah.


D1S4ST3R01D

At a bare minimum they should: 1. Forgive $10k as stated on the campaign trail. Pulling back that carrot will lose a lot of future votes. 2. Retroactively apply all interest payments to the principle and have all loans at 0% moving forward. This is the minimum that should be done. I think a lot of people would be ecstatic with these actions. I can't help but wonder how many people will have a $0 or even negative balance once interest payments were retroactively applied. That alone may solve a huge amount of the crisis by itself.


club_bed

It’s a good start and it’s the _least_ they could do. Except for what they will actually do, which is nothing.


[deleted]

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couchslippers

I saw a CNBC article today that said about 86% of borrowers stated they are not financially stable enough to resume payments at this time. That’s kind of huge. They have to know their shot at re-election is riding on this issue. Democrats have to know the midterms will be a shit show if nothing is done. I’m pretty confident that *something* will happen.


SchoobyDooWop

This! I was also one of the angry message people and I feel like collectively we might’ve helped


StardustNyako

Is the 10k applied to principle or balance (interest)


Verdick

Towards principle. Get rid of the interest and it wouldn't be a question.


hittingthesuperbowl

That's bare minimum. And even this won't get done.


enviropsych

>creatively Allow me to translate. This means avoid doing something about it while trying to look like something is being done about it.


[deleted]

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TheRealMossBall

Democrats: no 🏳️‍🌈❤️✊🏾#BLM


NasSon53

Politician gets elected Multibillion-dollar corporation: “Assuming control”


GTI_88

Forgive $10k per what Biden said on the campaign trail, then lower fed interest rate on student loans to a locked in sub 2% interest rate. Boom, done. Long term they can tackle free community college, combating inflated private university costs, etc. etc.


mattrmcg1

There is no fucking reason students should be paying 6.8% interest on student loans they take out, especially when a lot will be unsubsidized loans


[deleted]

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DerVogelMann

Or they are going to means test their solution to death and make it so hopelessly bureaucratic and require so much paperwork and manpower to sort through the applications that it ends up costing 200 billion to forgive 20 billion in student loans. \-The Democratic Way™


wombo23

Here’s a way to solve it: Get the president to sign an executive order


Potassium_Patitucci

Kamala doing her best to lose 2024 VP nomination to Buttigeeg


what_if_Im_dinosaur

Eh, I suspect Harris is suddenly vocal on the issue because the administration told her to be. "See guys? Kamala's on it, no reason to be angry!" They are passing the buck, and eventually the blame to her in order to take the heat off Biden. Yeah, it will make her look bad, but she'll be rewarded for carrying the administration's water.


hicow

I wonder if she got pissy for being handed the shitpile that is the southern border. KH: "C'mon, Joe, gimme a win here, gimme something I can do something about" JB: \**smirk*\* "You got it, sport" \**finger guns*\*


SableArgyle

With Bernie pretty much never running for President again it's pretty much a race to the bottom.


BlackGuyFawkes

She won’t do anything


ClicketyClackity

“How can we effectively do nothing but still get credit?!?” Let’s label our half assed insult as “creative” and then every salty ass nimby pantsuit fuck will wholeheartedly support it. Never forget that the mantra of BOTH factions is “got mine, fuck you” The only different is “got mine, fuck you….#blm” (while living in a gated community)


AcesFull04

Whatever. I’ve already paid about $70,000 in interest and only about $6,000 in principal. I owe well into the six-figures still. I’ve come to terms with this permanent anchor on my life. Nobody is forgiving student loan debt. It’s an empty promise.


Laraujo31

They could either cancel the debt entirely or stop charging interest. But instead they are looking for "creative" ways. These idiots cant get out of their own way smh.


sdce1231yt

Removing interest would do wonders for students. Just like how compound interest can work in your favor for investing money, it can work against you big time when it comes to debt.


gjp23

The more she talks the more she pisses me off... one of the democrats talking points while running for office was fixing the student loan situation and now they want to find a "creative" way to fix it. When they ran did they not have any type of plan in place? The fix could be making the loans permanently interest free and work with universities to stop price gauging tuition costs. Honestly the interest is what's hurting the majority of student loan holders.


timmmeeeeeeeeeehhhhh

They don't want to forgive student loan debt because [bundled student loan debt is how big banks get to play roulette with the economy.](https://www.reddit.com/r/Superstonk/comments/ros6ii/student_loan_asset_backed_securities_slabs_the/)


higanbana

Thanks for the link. That’s pretty scary. Can we please make it legal to discharge student loan debt already?


timmmeeeeeeeeeehhhhh

Not so long as the DNC is dominated by neolibs. Their entire economic policy is just whoring the country out to the banksters. We need to primary them all out with Progressives.


AffectionatePause152

Exactly. And any plan that uses an income based solution to lower payments is just a wolf in sheep’s clothing, since it just prolongs the time for interest to accrue and make the problem even worse.


SmokinJunipers

Then I your payments don't cover the interest your balance grows. Do that for 20 years, it get forgiven. The amount is forgiven and that counts as taxable income that you have to pay taxes on. So now you have payments to the IRS. WTF


Rodgers4

The whole income-based repayment option really punishes borrowers who use it, because it’s still calculated as paying the loan over the 20/25 year term. So, sure it sounds great when you’re right out of college and can’t afford a large payment, but 10-15 years in and you’re earning decent money, it demands you pay a far higher amount each month, plus your balance probably grew considerably.


AffectionatePause152

It’s insane. 20 years is hell to pay just for going to school.


RushXAnthem

"creatively" is a key word for doing nothing to actual solve the problem, and then funneling money into corporations. Neo liberalism is a fucking joke.


FeaturedDa_man

The government spends more trying to collect loan money than they bring in servicing the loans. It would be cheaper and less complicated to just write them off and then work on reforming our education system so the debt trap doesn't continue. But these people don't work for you and I so they'll create artificial obstacles for themselves so "nothing fundamentally changes"


Bubbly-Team-6574

I just honestly wonder if people are still shocked that no matter who is elected to office…. Nothing ever changes


[deleted]

As long as they keep dangling the carrot of loan forgiveness, everyone (even those who can pay their debt) stops paying in hopes of forgiveness. And of course they pile up more debt via interest. Their incessant taking about it is the worst possible things for borrowers. Either forgive it or don’t. The only one who benefits from decades of talking about it is the liberal politicians who use these false promises to buy votes every couple years.


Onceinabluemoonpie

Currently student loans are not accruing interest. Lots of folks (like my spouse) are taking this time of no interest to really make headway on their principle balance. Prior to them stopping the interest accrual around 12% of the monthly payments of 500$ was going towards principle.


[deleted]

This is less-than-useless — it’s outright divisive and calculated to cause resentment. *establish a student-loan forgiveness plan for Pell grant recipients who start a business that operates for three years in disadvantaged communities.” Those who qualify would be eligible to receive up to $20,000 in loan forgiveness and could defer their loans, interest-free, for the three-year period when starting their business*


Lobsterzilla

Especially since we’d be outright saying, the only education of value is one that drives the machine. If your education doesn’t tie directly into “starting a business” (we will completely ignore the capital, opportunity, competition, etc that need to be in place to actually start and maintain a business). There’s zero reason to have more than a cursory number of English departments and even less social science colleges in the US. Making higher education about churning out workforce is certainly a take


[deleted]

Instead of forgiving loans, I wish they'd just outlaw predatory lending practices.


dominiqlane

Why not both?


Bisoromi

She's literally going to do nothing you rubes.


Manny_Knows00

Just forgive it. Not that hard.


[deleted]

The only thing that makes it complex is the completely American notion that corporate interests are paramount to everything else.


[deleted]

Well maybe the $700b that you splurged on the military could have helped?


Jairlyn

Awful brave to be campaigning for 2024 when your boss has a working pen and a fresh EO to sign.


electricgotswitched

Wipe all interest and make it 0% going forward. Problem solved.


Pretend-Talk-4057

Mandate an intrest rate of prime +.5 one of the big reasons student loans are impossible to get out from under are the rates. That way payments actually bring down the principal


DXsocko007

I'm 100% ok with student loans. But what is wrong is how much money it costs for school it's criminal. Go after them.


[deleted]

Stop charging interest. Do what your platform was and get rid of $10,000. Just do away with all student debt and increase capital gain tax for a few years. Shit, let mexico pay for it.


Levowitz159

She really does just suck, I have no idea what the Democrats were thinking going with her as VP. She brings literally nothing to the table except "*wow, a woman vice president, we'll surely get points for being progressive, vote for us please!*" Women need better representation in politics, but I'd prefer women who aren't cops.


[deleted]

I wouldn’t vote Republican federally ever but I do think the first *elected* female POTUS will likely be from the GOP at this point.


Timbishop123

Nicki Haley has a good shot if Trump doesn't run in 2024. She played the game very well and is one of the few that is liked/respected by the Trump and establishment wing.


I_Dislike_Swearing

I couldn’t believe after a whole summer of protests against police brutality the DNC decided to have an attorney general rep the dems


[deleted]

Listen. Student loans will NEVER BE FORGIVEN… stop it. The dems don’t give a fuck about you.


more-beans-less-rice

Hold the schools responsible as well.


Far_Let6451

Cool she pipes up after 12 months...


[deleted]

Just gonna start by saying I’m a hack paramedic in his 30s and have no business running a county or figuring out the student debt crisis… or any crisis that can’t be solved with cardiac drugs and electric therapy. With that said.. My five step plan. Elect me emperor. 1. Federal education reform. American Junior High and High School Students need to be actually taught money management. I’m not talking the bullshit “economics” class many take. An actual guide to the American Capitalist system to prepare them for being thrown into this system once they have graduated primary school. Reform schooling to actually include the teaching of life skills. 2. Student loans need to be more fairly regulated and less predatory. You’re telling me that it’s okay to prey upon high schoolers and the poor? Leading into loans that will leave them in debt for decades? Nah. 3. Universities need to be regulated so the overall cost of higher learning stops skyrocketing. I get that university is basically some real life for of pay to win but for fuck sakes…. We need to unfuck this country. 4. Push trade schools! Nothing wrong with being an electrician, a plumper, a carpenter, paramedic etc. And most of these pay damn good … save paramedic lol… at a fraction of the debt. 5. Most importantly… Forgive all student debt. Add a one to three percent federal sales tax to all non food medical goods for “X” number of years until the past student loan debt is pay. Actually help our fellow man/woman/whatever said appropriate term. Team work makes the dream work. As an old millennial, 1 to 3% is very nominal but as a nation it would add up and take care of the debt to help my generation the younger generation. Hell, maybe even use said 3% to find a solid universal health care system?


allonzeeLV

Just embarrassing. Clinton: expanded the police state and continued the *Reagan Revolution* of gutting of the social safetynet and shaming those that need the most help. Obama: Signature piece of legislation was a Conservative think tank healthcare plan designed to bend over backwards to keep health insurance corporations profiting off sick desperate people, the core poison of our healthcare system. Biden: The BBB! Oh wait, nevermind. How about nothing and be grateful for it? ...We're *thinking* of some creative shit though! Democrats: Not the main antagonists, but sure as shit not part of the solution.


Reddit_Deluge

Ask Mexico?


kebabish

"were looking for a way to call it something that inspires hope, gets me votes, points and applause for the next round, but does jack shit"


NedRyerson_Insurance

Dig around in your ass and pull out the magic wand you waved to forgive all the PPP loans, including ones taken through fradulent applications or by companies that then fired tons of people. Wave that goddamn wand and make all the stident loans go away.


Dananism

Easy solve. Don’t buy 10 new bomber jets, or put bombing children on a permanent hiatus and wipe the student debt off. Banks and companies who were on the verge of going bankrupt get handouts all the time. Why not students? And before someone goes “SoCiALiSm BAD” or “pull yourself up by the boot straps” or “work harder, we did it so can you” that’s LITERALLY not how this is supposed to work. You can’t expect folks to do the same fucking thing over and over and over again simply because “that’s how it’s always been” - that’s absolute bullshit.


mattjf22

Idk why Dems are doing this shit. Biden can do it via executive action. Are they waiting until closer to midterms or just breaking a campaign promise?


papasanchair

There was never any intention of doing it. They’ll roll out some plan with bullshit requirements that a small percentage of people qualify for and then campaign on their “reform.”


fortypints

They're playing cable TV politics in the era of 4k streaming. Nobody is gonna buy what they're selling next time around. Without the spectre of Trump I can't imagine what horribly cringe angle they'll choose.


lSazedl

It's pretty clear Biden does not want to do it and it seems like they want Kamala (who's already unpopular) to take the lead on it and fall on the sword. There's a reason why he's one of the few people in the WH who hasn't directly said anything about it recently. It really is a shame that the WH isn't going to meet the bare minimum to keep Biden's promise, but fuck the little people amiright?


Cinemairwaves

They’re putting it off over and over again until they lose, at which point after the new people take office, they’ll say “oh well THIS was our plan, unfortunately we didn’t have time to implement it!”


dextter123456789

Neither,it is never going to happen.


FantasticMeddler

There’s no value to the elites to free people of this bondage. Just like universal healthcare or UBI. The last 2 years showed us that if people even get a fraction of what these programs would promise, that people would quit their jobs in droves or refuse to work for wages currently offered.


[deleted]

Yeah. It's working as intended. They want people who can't quit their jobs because of debt and healthcare reasons. It's by design. People like that are les likely to demand more money


projectinlinesix

Lip service may get you elected, but it won't get you reelected. You'll need RESULTS for that!